Oil prices fell in early Asian trade after hitting a nearly three-month low during the previous session, as fears of a potential global recession spurred concerns about oil demand.
By 0013 GMT, the price of crude LCOc 1 fell 71 cents to $99.98 a barrel. WTI crude CLc 1 futures fell by 62 cents to $97.91 a barrel.
WTI fell 8% while Brent fell 9% - a $10.73 drop that was the third biggest for the contract since it started trading in 1988.
Stephen Innes, managing partner of SPI Asset Management said that oil is getting decimated with little new information about production or consumption.
The recessionary headline risk is like an anvil around the market's neck due to commodity traders turning very risk-averse due to growing demand and still hawkish US Fed policy concerns. Investors were hoping for US government data on Thursday that would shed light on the state of domestic oil and fuel inventories.
Market sources said that the US crude inventories increased by around 3.8 million barrels last week. Inventoline inventories fell by 1.8 million barrels, while distillate inventories fell by about 635,000 barrels.